Phase 1 of Irish social housing project secures €120m funding
March 26, 2019 – A total of 534 homes will be built in Dublin, Louth, Wicklow and Kildare under phase 1 of the first social housing public-private partnership (PPP) project in Ireland, with the signing of an agreement between Comhar Housing and the European Investment Bank (EIB), for €120m of new investment.
The EIB, along with the Bank of Ireland, Macquarie Capital and Korea Development Bank, will provide 50% of the 25-year funding for the first stage of the scheme.
The national social housing construction programme is expected to help address the shortage of social housing in Ireland, as 1,500 new homes will be constructed across the country under the overall three-phase programme.
Choice Housing, part of the Comhar consortium, will manage the new units under a 25-year financing agreement and construction managed by Sisk.
Under the terms of the PPP finance agreement, the consortium will build and maintain the housing for 25 years before it is returned in prime condition to the Irish State.
Construction is expected to commence in the coming weeks and be completed in two years depending on the site.
The 534 new homes will be constructed at Ayrfield, Malahide Rd (150 units, including 50 for senior citizens); Scribblestown and Finglas (70 units); Corkagh Grange, South Dublin (109 units); Dunleer, Co Louth (80 units); Convent Lands, Wicklow Town (51 units); and Craddockstown in Naas, Co Kildare (74 units).
Minister for Housing, Planning and Local Government Eoghan Murphy said: “This contract with Comhar Housing Limited represents a significant milestone in the provision of social housing through the means of a Public-Private Partnership.
“These 534 homes are the first social housing units to be delivered in Ireland using this PPP model, and represent the first of three bundles in this programme that will deliver a total of 1,500 units.
“The valuable support of the European Investment Bank and Bank of Ireland for this project demonstrates their faith in what is an innovative social housing delivery mechanism, and I would like to acknowledge the hard work of the range of public and private sector stakeholders that have brought the project to this stage.
“This project represents yet another means of delivering on our overall targets for social housing as part of Rebuilding Ireland, and I am delighted to note that construction of these new homes will begin immediately.”